Foreign co-production investments, which represented 18.8% of all French films’ investment, dropped by 22.5% to $282.72 million.

In addition, Gallic TV stations — TF1, France Televions and M6 — which are obliged to invest a percentage of their revenues in French movies, cut their investments by 23.1% to $152 million as their ad revenues dropped.

In contrast, French pay TV giant Canal Plus, a powerful backer of local pics, only slighly reduced its investment by 5.3% to $225 million. The paybox’s coin still finances 66.5% of all French-majority films and 18.5% of foreign titles co-produced with Gaul.

A good reason to remain optimistic, said Cayla, is that Orange Cinema Series is stepping up its investments significantly. In its first full year, OCS invested $9.9 million in 13 films. Some 80% of that investment was accounted for by payments for Gallic first-run, premium pay TV rights.

Olivier Wotling, director of the CNC film department, pointed out bigger-budget films that rely on international investment — notably toons — were more difficult to finance in time of recession.

Meanwhile, 96 films were co-produced with 34 countries. French minority co-pros were up to 48 films in 2009, four more than 2008.

i>John Hopewell contributed to this report. /i>

By ELSA KESLASSY PARIS

After breaking all-time records in 2009, the Gallic box office has climbed again this year with a 16% year-on-year increase through February, according to a report from the CNC.

James Cameron’s “Avatar,” which bowed Dec. 16 in France, has continued to fuel admissions, grossing $117.11 million through February.

Pic’s huge success in Gaul justified Gallic mini-major UGC’s inking a deal with Ymagis to convert its 605 screens throughout Europe to digital.

” ‘Avatar’s’ been a major driving force for French filmmgoers,” says Olivier Lebraud, marketing and promotion topper at SND, distributor of “Nine” in Gaul. “And other films have inevitably benefited from it.”